Question 1

Protecting a firm's intellectual capital requires a concerted effort.

Accepted Answer

A) True 
 B)False

Question 2

Intellectual capital is the difference between the market value and the book value of a firm. Intellectual capital can be increased by

Accepted Answer

A)  increasing retention of below average workers. 
B)  attracting and retaining knowledgeable workers. 
C)  decreasing labour costs. 
D)  increasing the turnover of employees. 
A)  increasing retention of below average workers. 
B)  attracting and retaining knowledgeable workers. 
C)  decreasing labour costs. 
D)  increasing the turnover of employees.

Question 3

Social capital is based on the network of relationships within a firm, not in the skills and abilities of an individual employee.

Accepted Answer

A) True 
 B)False

Question 4

Rather than focus solely on financial considerations, many firms offer attractive benefits to entice employees to stay. These may include on-site stores, ATMs and athletic facilities.

Accepted Answer

A) True 
 B)False

Question 5

Patents typically provide long-term protection for a firm since they do not expire.

Accepted Answer

A) True 
 B)False

Question 6

Human capital includes

Accepted Answer

A)  an individual's capabilities, knowledge, and skills. 
B)  the relationships between people. 
C)  the output from assembly line employees. 
D)  an improved product. 
A)  an individual's capabilities, knowledge, and skills. 
B)  the relationships between people. 
C)  the output from assembly line employees. 
D)  an improved product.

Question 7

Which of the following answer accurately summarizes the downsides of social capital?

Accepted Answer

A)  high social capital may breed "groupthink," i.e., a tendency not to question shared beliefs. 
B)  socialization processes whereby individuals are socialized into the norms and values of the organization may become expensive. 
C)  individuals may become less willing to collaborate on joint projects. 
D)  high social capital may breed "groupthink," i.e., a tendency not to question shared beliefs and socialization processes whereby individuals are socialized into the norms and values of the organization may become expensive. 
A)  high social capital may breed "groupthink," i.e., a tendency not to question shared beliefs. 
B)  socialization processes whereby individuals are socialized into the norms and values of the organization may become expensive. 
C)  individuals may become less willing to collaborate on joint projects. 
D)  high social capital may breed "groupthink," i.e., a tendency not to question shared beliefs and socialization processes whereby individuals are socialized into the norms and values of the organization may become expensive.

Question 8

Structural holes can be described by:

Accepted Answer

A)  the social gap between two groups 
B)  the sharing of information through an informal communication network called the grapevine 
C)  creating value through collaboration 
D)  the downsides of groupthink 
A)  the social gap between two groups 
B)  the sharing of information through an informal communication network called the grapevine 
C)  creating value through collaboration 
D)  the downsides of groupthink

Question 9

In the knowledge economy, if a large portion of a firm's value is in intellectual and human assets, the difference between the company's market value and book value should ___________ a company with mostly physical and financial assets.

Accepted Answer

A)  be equal to 
B)  be smaller than 
C)  be larger than 
D)  not be correlated with 
A)  be equal to 
B)  be smaller than 
C)  be larger than 
D)  not be correlated with

Question 10

New knowledge involves the continual interaction between ___________ and ___________ knowledge.

Accepted Answer

A)  intellectual; pragmatic 
B)  theoretical; practical 
C)  tacit; explicit 
D)  detailed; tacit 
A)  intellectual; pragmatic 
B)  theoretical; practical 
C)  tacit; explicit 
D)  detailed; tacit

Question 11

Developing social capital is risky for an organization because social capital is specific to individuals and remains with the employee if he or she leaves the organization.

Accepted Answer

A) True 
 B)False

Question 12

Which barrier to collaboration occurs when people are unable to work with the people they don't know well?

Accepted Answer

A)  The not-invented-here barrier 
B)  The hoarding barrier 
C)  The search barrier 
D)  The transfer barrier 
A)  The not-invented-here barrier 
B)  The hoarding barrier 
C)  The search barrier 
D)  The transfer barrier

Question 13

BC Biomedical Laboratory was named one of Canada's "Best Employers" for the third year running.

Accepted Answer

A) True 
 B)False

Question 14

BC Biomedical Laboratories, which has been named one of Canada's 'Best Employers' attributes their success to having a

Accepted Answer

A)  pyramid organization. 
B)  flat organization. 
C)  top-down organization. 
D)  bottom-up organization. 
A)  pyramid organization. 
B)  flat organization. 
C)  top-down organization. 
D)  bottom-up organization.

Question 15

Attracting and retaining human capital is a challenge for many firms today. Firms experiencing high turnover should

Accepted Answer

A)  focus on increased recruiting. 
B)  decrease money spent on human capital. 
C)  make their work environment less stimulating. 
D)  adopt effective retention strategies. 
A)  focus on increased recruiting. 
B)  decrease money spent on human capital. 
C)  make their work environment less stimulating. 
D)  adopt effective retention strategies.

Question 16

Many firms attempt to codify the tacit knowledge of employees in an effort to retain that knowledge after the employee leaves the firm.

Accepted Answer

A) True 
 B)False

Question 17

Recent research by McKinsey Global Institute suggests that by 2020, the worldwide shortage of highly skilled, college-educated workers will no longer be a problem in North America.

Accepted Answer

A) True 
 B)False

Question 18

What is intellectual capital and what is its effect on the ratio of a firm's market value to book value?

Accepted Answer

Intellectual capital

Question 19

In terms of retaining human capital, Magna's strategy is to

Accepted Answer

A)  allocate 10 percent of pre-tax profits to employees 
B)  cultivate the creative potential of its workforce 
C)  distribute 6 percent of profits to senior managers 
D)  all of the choices are correct 
A)  allocate 10 percent of pre-tax profits to employees 
B)  cultivate the creative potential of its workforce 
C)  distribute 6 percent of profits to senior managers 
D)  all of the choices are correct

Question 20

Attracting top talent is a challenge for many organizations. In today's economy, knowledge workers typically have multiple possible employment opportunities.

Accepted Answer

A) True 
 B)False

Protecting a firm's intellectual capital requires a concerted effort.

Intellectual capital is the difference between the market value and the book value of a firm. Intellectual capital can be increased by

Social capital is based on the network of relationships within a firm, not in the skills and abilities of an individual employee.

Rather than focus solely on financial considerations, many firms offer attractive benefits to entice employees to stay. These may include on-site stores, ATMs and athletic facilities.

Patents typically provide long-term protection for a firm since they do not expire.

Human capital includes

Which of the following answer accurately summarizes the downsides of social capital?

Structural holes can be described by:

In the knowledge economy, if a large portion of a firm's value is in intellectual and human assets, the difference between the company's market value and book value should ___________ a company with mostly physical and financial assets.

New knowledge involves the continual interaction between _ and _ knowledge.

Developing social capital is risky for an organization because social capital is specific to individuals and remains with the employee if he or she leaves the organization.

Which barrier to collaboration occurs when people are unable to work with the people they don't know well?

BC Biomedical Laboratory was named one of Canada's "Best Employers" for the third year running.

BC Biomedical Laboratories, which has been named one of Canada's 'Best Employers' attributes their success to having a

Attracting and retaining human capital is a challenge for many firms today. Firms experiencing high turnover should

Many firms attempt to codify the tacit knowledge of employees in an effort to retain that knowledge after the employee leaves the firm.

Recent research by McKinsey Global Institute suggests that by 2020, the worldwide shortage of highly skilled, college-educated workers will no longer be a problem in North America.

What is intellectual capital and what is its effect on the ratio of a firm's market value to book value?

In terms of retaining human capital, Magna's strategy is to

Attracting top talent is a challenge for many organizations. In today's economy, knowledge workers typically have multiple possible employment opportunities.

Strategic Management: Creating Competitive Advantages: an Overview

Analyzing the External Environment of the Firm

Analyzing the Internal Environment of the Firm

Business-Level Strategy: Creating and Sustaining Competitive Advanta

Corporate-Level Strategy: Creating Value Through Diversification

International Strategy: Creating Value in Global Markets

Industry Change and Competitive Dynamics

Creating Effective Organizational Designs

Strategic Control and Corporate Governance

Strategic Leadership: Creating a Learning, Ethical, and Socially Res

Managing Innovation and Fostering Entrepreneurship

Filters

Exam 4: Assessing the Intellectual Assets of the Firm

Protecting a firm's intellectual capital requires a concerted effort.

Intellectual capital is the difference between the market value and the book value of a firm. Intellectual capital can be increased by

Social capital is based on the network of relationships within a firm, not in the skills and abilities of an individual employee.

Rather than focus solely on financial considerations, many firms offer attractive benefits to entice employees to stay. These may include on-site stores, ATMs and athletic facilities.

Patents typically provide long-term protection for a firm since they do not expire.

Human capital includes

Which of the following answer accurately summarizes the downsides of social capital?

Structural holes can be described by:

In the knowledge economy, if a large portion of a firm's value is in intellectual and human assets, the difference between the company's market value and book value should ___________ a company with mostly physical and financial assets.

New knowledge involves the continual interaction between ___________ and ___________ knowledge.

Developing social capital is risky for an organization because social capital is specific to individuals and remains with the employee if he or she leaves the organization.

Which barrier to collaboration occurs when people are unable to work with the people they don't know well?

BC Biomedical Laboratory was named one of Canada's "Best Employers" for the third year running.

BC Biomedical Laboratories, which has been named one of Canada's 'Best Employers' attributes their success to having a

Attracting and retaining human capital is a challenge for many firms today. Firms experiencing high turnover should

Many firms attempt to codify the tacit knowledge of employees in an effort to retain that knowledge after the employee leaves the firm.

Recent research by McKinsey Global Institute suggests that by 2020, the worldwide shortage of highly skilled, college-educated workers will no longer be a problem in North America.

What is intellectual capital and what is its effect on the ratio of a firm's market value to book value?

In terms of retaining human capital, Magna's strategy is to

Attracting top talent is a challenge for many organizations. In today's economy, knowledge workers typically have multiple possible employment opportunities.

Strategic Management: Creating Competitive Advantages: an Overview

Analyzing the External Environment of the Firm

Analyzing the Internal Environment of the Firm

Business-Level Strategy: Creating and Sustaining Competitive Advanta

Corporate-Level Strategy: Creating Value Through Diversification

International Strategy: Creating Value in Global Markets

Industry Change and Competitive Dynamics

Creating Effective Organizational Designs

Strategic Control and Corporate Governance

Strategic Leadership: Creating a Learning, Ethical, and Socially Res

Managing Innovation and Fostering Entrepreneurship

Filters

New knowledge involves the continual interaction between _ and _ knowledge.